SHANGHAI (Reuters) - Semiconductor Manufacturing International Corp, China's biggest contract chip maker, plans to become a maker of polysilicon, a key material for solar energy cells, a source familiar with the situation said on Thursday.
SMIC is in talks with a German company to obtain the necessary technology, said the source, declining to identify the German firm.
The location of SMIC's polysilicon plant has not been decided, but it will be in an area of China where power is relatively cheap, added the source, who declined to be named since an agreement on the technology transfer has not yet been reached.
An SMIC spokesman declined comment.
SMIC, a major maker of memory and logic chips, also manufactures crystalline cells and assembles photovoltaic panels, which are used to produce solar energy.
Several Chinese companies making solar power equipment, such as Suntech Power Holdings Co, are trying to move their operations upstream into production of key materials, in order to cut costs and obtain better control over the supply chain.
(Reporting by Sophie Taylor: Editing by Andrew Torchia/Rory Channing)
Sunday, June 22, 2008
ReneSola Announces Pricing of Follow-On Public Offering on the New York Stock Exchange
JIASHAN, China, June 18 /Xinhua-PRNewswire-FirstCall/ -- ReneSola Ltd('ReneSola' or the 'Company'), a leading global manufacturer of solar wafers, is pleased to announce further details of its follow-on public offering of American Depositary Shares ('ADSs') (the 'Offering').
Details of the Offering
A total of 9,000,000 ADSs, each representing two shares of the Company, are being sold in the Offering at a price of US$20.50 per ADS.
Of the ADSs to be sold in the Offering, 8,577,220 ADSs represent new shares being issued by ReneSola and 422,780 ADSs are being sold by certain selling shareholders (the 'Selling Shareholders'), including certain directors of the Company, further details of which are set out below. In addition, the underwriters have been granted a 30-day option to purchase up to 972,720 additional ADSs from ReneSola and an aggregate of 377,280 additional ADSs from the Selling Shareholders to cover over-allotments.
The Company's ADSs will be traded on the New York Stock Exchange under the ticker symbol 'SOL.' The ticker symbol of the Company's shares on the AIM market of the London Stock Exchange ('AIM') will remain 'SOLA.'
Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc. are acting as joint book runners and Piper Jaffray & Co., Lazard Capital Markets LLC and Oppenheimer & Co. Inc. are acting as co-managers for the Offering.
The underwriters expect to deliver the ADSs to purchasers on or about 23 June 2008.
ReneSola's registration statement relating to the ADSs sold in the Offering has been declared effective by the United States Securities and Exchange Commission. This news release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
The Offering is made only by means of a prospectus forming a part of the effective registration statement. A copy of the prospectus relating to the offering may be obtained by contacting Credit Suisse Securities (USA) LLC, Eleven Madison Avenue, New York, New York 10010-3629, or by telephone at 1-800-221-1037; or by contacting Deutsche Bank Securities Inc., Attn: Prospectus Department, 100 Plaza One, Floor 2, Jersey City, NJ 07311-3901, by telephone at 1-800-503-4611, or by e-mail at prospectusrequest@list.db.com.
Separate from the Offering, the Company will issue 28,000 shares to Panjian Li, Chief Strategy Officer of ReneSola, following his notification of exercise of options. The shares resulting from the exercise will be converted into ADSs and sold in the Offering.
Application for admission to AIM has been made for the 17,182,440 new shares represented by the ADSs being sold by the Company and the new ADSs being sold by Panjian Li in the Offering. Admission is expected to take place on or about 24 June 2008, following the anticipated closing of the Offering on or about 23 June 2008.
On closing of the Offering, before any exercise of the over-allotmentoption, there will be 135,667,472 shares in issue.
About ReneSola
ReneSola Ltd ('ReneSola') (AIM: SOLA, NYSE: SOL) is a leading global manufacturer of solar wafers, which are thin sheets of crystalline silicon material primarily used in the production of solar cells. ReneSola has accumulated extensive experience and expertise in developing and using monocrystalline wafer production technologies, has expanded operations into multicrystalline wafer production and has moved upstream into virgin polysilicon manufacturing. ReneSola maintains dedicated raw material procurement personnel in China, the United States and Singapore and possessesa global network of suppliers and customers that include some of the leading global manufacturers of solar cells and modules. For more information about ReneSola, please visit http://www.renesola.com .
Details of the Offering
A total of 9,000,000 ADSs, each representing two shares of the Company, are being sold in the Offering at a price of US$20.50 per ADS.
Of the ADSs to be sold in the Offering, 8,577,220 ADSs represent new shares being issued by ReneSola and 422,780 ADSs are being sold by certain selling shareholders (the 'Selling Shareholders'), including certain directors of the Company, further details of which are set out below. In addition, the underwriters have been granted a 30-day option to purchase up to 972,720 additional ADSs from ReneSola and an aggregate of 377,280 additional ADSs from the Selling Shareholders to cover over-allotments.
The Company's ADSs will be traded on the New York Stock Exchange under the ticker symbol 'SOL.' The ticker symbol of the Company's shares on the AIM market of the London Stock Exchange ('AIM') will remain 'SOLA.'
Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc. are acting as joint book runners and Piper Jaffray & Co., Lazard Capital Markets LLC and Oppenheimer & Co. Inc. are acting as co-managers for the Offering.
The underwriters expect to deliver the ADSs to purchasers on or about 23 June 2008.
ReneSola's registration statement relating to the ADSs sold in the Offering has been declared effective by the United States Securities and Exchange Commission. This news release does not constitute an offer to sell or a solicitation of an offer to buy the securities described herein, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
The Offering is made only by means of a prospectus forming a part of the effective registration statement. A copy of the prospectus relating to the offering may be obtained by contacting Credit Suisse Securities (USA) LLC, Eleven Madison Avenue, New York, New York 10010-3629, or by telephone at 1-800-221-1037; or by contacting Deutsche Bank Securities Inc., Attn: Prospectus Department, 100 Plaza One, Floor 2, Jersey City, NJ 07311-3901, by telephone at 1-800-503-4611, or by e-mail at prospectusrequest@list.db.com.
Separate from the Offering, the Company will issue 28,000 shares to Panjian Li, Chief Strategy Officer of ReneSola, following his notification of exercise of options. The shares resulting from the exercise will be converted into ADSs and sold in the Offering.
Application for admission to AIM has been made for the 17,182,440 new shares represented by the ADSs being sold by the Company and the new ADSs being sold by Panjian Li in the Offering. Admission is expected to take place on or about 24 June 2008, following the anticipated closing of the Offering on or about 23 June 2008.
On closing of the Offering, before any exercise of the over-allotmentoption, there will be 135,667,472 shares in issue.
About ReneSola
ReneSola Ltd ('ReneSola') (AIM: SOLA, NYSE: SOL) is a leading global manufacturer of solar wafers, which are thin sheets of crystalline silicon material primarily used in the production of solar cells. ReneSola has accumulated extensive experience and expertise in developing and using monocrystalline wafer production technologies, has expanded operations into multicrystalline wafer production and has moved upstream into virgin polysilicon manufacturing. ReneSola maintains dedicated raw material procurement personnel in China, the United States and Singapore and possessesa global network of suppliers and customers that include some of the leading global manufacturers of solar cells and modules. For more information about ReneSola, please visit http://www.renesola.com .
Shenzhen Topraysolar passes milestone in $433M PV park
June 17, 2008
Company plans to make an initial investment of $108 million by year end.
Hohhot, China-based Shenzhen Topraysolar Co. has announced plans to invest $433.63 million over five years in a photovoltaic industrial park in Leshan.
An initial investment of $108.41 million, just secured, is to be divided between the next year-and-a-half, with half the capital going toward the project by year end, said Shenzhen.
Earlier this year Shenzhen filed for China's first domestic IPO.
The Shenzhen Topray Solar Industrial Park, as it has been named, is to consist of a 670,000 square meter park which is planned to have 880 MW of combined solar and wind power, making the silicon park partially self-sufficient, boasts Shenzhen.
The solar installation is to include a 300 KW roof top installation and an 80 KW amorphous silicon solar module "curtain" over the main building.
For wind generation, the Chinese company said it plans on installing a building-integrated wind turbine which is expected to contribute approximately 500 MW of power.
When completed, the project is expected to product crystalline silicon materials, solar power batteries, graphite products, quartz products and special glass products.
Leshan is China's largest production base of crystalline silicon and reportedly has two polysilicon production projects underway by Tongwei Group for 1,000 tons, and Emei Semiconductor for 1,500 tons, in addition to being the headquarters of TBEA Co., China's largest researching and assembling bases for solar energy equipment.
Shenzhen said it expects the park to begin production in 2010.
Company plans to make an initial investment of $108 million by year end.
Hohhot, China-based Shenzhen Topraysolar Co. has announced plans to invest $433.63 million over five years in a photovoltaic industrial park in Leshan.
An initial investment of $108.41 million, just secured, is to be divided between the next year-and-a-half, with half the capital going toward the project by year end, said Shenzhen.
Earlier this year Shenzhen filed for China's first domestic IPO.
The Shenzhen Topray Solar Industrial Park, as it has been named, is to consist of a 670,000 square meter park which is planned to have 880 MW of combined solar and wind power, making the silicon park partially self-sufficient, boasts Shenzhen.
The solar installation is to include a 300 KW roof top installation and an 80 KW amorphous silicon solar module "curtain" over the main building.
For wind generation, the Chinese company said it plans on installing a building-integrated wind turbine which is expected to contribute approximately 500 MW of power.
When completed, the project is expected to product crystalline silicon materials, solar power batteries, graphite products, quartz products and special glass products.
Leshan is China's largest production base of crystalline silicon and reportedly has two polysilicon production projects underway by Tongwei Group for 1,000 tons, and Emei Semiconductor for 1,500 tons, in addition to being the headquarters of TBEA Co., China's largest researching and assembling bases for solar energy equipment.
Shenzhen said it expects the park to begin production in 2010.
Canadian Solar lifts FY08 revenue guidance
6/17/2008
(RTTNews) - Tuesday, Canadian Solar Inc., a manufacturer and marketer of solar module products, announced it will raise the 2008 annual revenue and output guidance to reflect the anticipated sales of its e-Module products in the second half of this year.
The Markham, Canada-based company lifted the revenue forecast to a range of $750 million to $870 million for fiscal 2008 from the earlier guidance of $650 million to $750 million. Wall Street analysts estimate revenues of $836.06 million.
The company estimates that it will ship approximately 10 - 12 MW of e-Modules to USA and South Korea in 2008.
The company disclosed that it has begun delivery of e-Modules to Pro Solar Solarstrom GmbH and Iliotec Solar GmbH of Germany, as per the annual supply agreements signed in early 2008. The company expects to ship 24.5 MW of e-Modules before the end of 2008. Canadian Solar has committed sales of 35 MW and customers' interest of about 20 MW for e-Modules in 2008.
"Our expected e-Module output for 2008 was sold out; we are pleased that e-Modules have been accepted by leading industry players such as Pro Solar and Iliotec. Since we have secured our supply of raw materials and are on track with our planned capacity ramp we are now comfortable in raising our guidance," said Shawn Qu, chairman and chief executive officer.
Looking ahead to 2009, the company said there is strong demand seen for both regular and e-Modules, and to meet this, the Board has authorized an increase in capital expenditures to accelerate the planned capacity ramp.
Regarding capacity expansion, Canadian Solar announced plans to increase its annual ingot and wafer capacity from the previous target of 40 MW - 60 MW to 150 MW - 200 MW; Internal cell capacity from 250 MW to 400 MW; and Module capacity to 800 MW, the company said.
(RTTNews) - Tuesday, Canadian Solar Inc., a manufacturer and marketer of solar module products, announced it will raise the 2008 annual revenue and output guidance to reflect the anticipated sales of its e-Module products in the second half of this year.
The Markham, Canada-based company lifted the revenue forecast to a range of $750 million to $870 million for fiscal 2008 from the earlier guidance of $650 million to $750 million. Wall Street analysts estimate revenues of $836.06 million.
The company estimates that it will ship approximately 10 - 12 MW of e-Modules to USA and South Korea in 2008.
The company disclosed that it has begun delivery of e-Modules to Pro Solar Solarstrom GmbH and Iliotec Solar GmbH of Germany, as per the annual supply agreements signed in early 2008. The company expects to ship 24.5 MW of e-Modules before the end of 2008. Canadian Solar has committed sales of 35 MW and customers' interest of about 20 MW for e-Modules in 2008.
"Our expected e-Module output for 2008 was sold out; we are pleased that e-Modules have been accepted by leading industry players such as Pro Solar and Iliotec. Since we have secured our supply of raw materials and are on track with our planned capacity ramp we are now comfortable in raising our guidance," said Shawn Qu, chairman and chief executive officer.
Looking ahead to 2009, the company said there is strong demand seen for both regular and e-Modules, and to meet this, the Board has authorized an increase in capital expenditures to accelerate the planned capacity ramp.
Regarding capacity expansion, Canadian Solar announced plans to increase its annual ingot and wafer capacity from the previous target of 40 MW - 60 MW to 150 MW - 200 MW; Internal cell capacity from 250 MW to 400 MW; and Module capacity to 800 MW, the company said.
LDK Solar Signs a Five-Year Wafer Supply Agreement With Solar PV Corporation
XINYU CITY, China and SUNNYVALE, Calif., June 13 /PRNewswire-FirstCall/ --LDK Solar Co., Ltd. (NYSE: LDK), a leading manufacturer of multicrystalline solar wafers, today announced that it has signed a five-year contract to supply multicrystalline solar wafers to China-based Jiangxi Solar PV Corporation (JSPV). Under the terms of the agreement, LDK Solar will deliver approximately 70 MW of multicrystalline solar wafers to JSPV, a new venture created by US-based Solar PV Corporation, over a five-year period commencing in 2009 through 2013. JSPV will make an advanced payment representing a portion of the contract value to LDK Solar.
"We are excited to enter this long-term wafer supply agreement with Jiangxi Solar PV as they launch a new venture within the Jiangxi Province," stated Xiaofeng Peng, Chairman and CEO of LDK Solar. "We are very pleased to begin this strategic partnership and aid in the development of more solar PV companies in Jiangxi."
"We are very pleased to enter into this agreement with LDK Solar to securequality solar wafers," commented C. Chang, Chief Executive, Solar PVCorporation. "We look forward to a long-term relationship with LDK Solar as wework toward rapidly increasing our scale of operations and capacity to assumea leadership position."
About LDK Solar
LDK Solar Co., Ltd. is a leading manufacturer of multicrystalline solar wafers, which are the principal raw material used to produce solar cells. LDK sells multicrystalline wafers globally to manufacturers of photovoltaic products, including solar cells and solar modules. In addition, the Company provides wafer processing service to monocrystalline and multicrystalline solar cell and module manufacturers. LDK's headquarters and manufacturing facilities are located in Hi-Tech Industrial Park, Xinyu City, Jiangxi province in the People's Republic of China. The Company's office in the United States is located in Sunnyvale, California.
About Jiangxi Solar PV Corporation
Jiangxi Solar PV Corporation is in the business of development, manufacturing and marketing wafer-based solar cells. Incorporated in Jiangxi, China and a wholly owned subsidiary of US-based Solar PV Corporation, JSPV's business office and manufacturing facility are located in Xingyu, Jiangxi, China. The production in Xingyu is scheduled to begin in the first quarter of 2009.
"We are excited to enter this long-term wafer supply agreement with Jiangxi Solar PV as they launch a new venture within the Jiangxi Province," stated Xiaofeng Peng, Chairman and CEO of LDK Solar. "We are very pleased to begin this strategic partnership and aid in the development of more solar PV companies in Jiangxi."
"We are very pleased to enter into this agreement with LDK Solar to securequality solar wafers," commented C. Chang, Chief Executive, Solar PVCorporation. "We look forward to a long-term relationship with LDK Solar as wework toward rapidly increasing our scale of operations and capacity to assumea leadership position."
About LDK Solar
LDK Solar Co., Ltd. is a leading manufacturer of multicrystalline solar wafers, which are the principal raw material used to produce solar cells. LDK sells multicrystalline wafers globally to manufacturers of photovoltaic products, including solar cells and solar modules. In addition, the Company provides wafer processing service to monocrystalline and multicrystalline solar cell and module manufacturers. LDK's headquarters and manufacturing facilities are located in Hi-Tech Industrial Park, Xinyu City, Jiangxi province in the People's Republic of China. The Company's office in the United States is located in Sunnyvale, California.
About Jiangxi Solar PV Corporation
Jiangxi Solar PV Corporation is in the business of development, manufacturing and marketing wafer-based solar cells. Incorporated in Jiangxi, China and a wholly owned subsidiary of US-based Solar PV Corporation, JSPV's business office and manufacturing facility are located in Xingyu, Jiangxi, China. The production in Xingyu is scheduled to begin in the first quarter of 2009.
Friday, June 13, 2008
CTDC Begins Construction of the First a-Si Thin-Film Solar Energy Rooftop System in China's Fujian Province
HONG KONG, June 12 /Xinhua-PRNewswire-FirstCall/ -- China Technology Development Group Corporation (Nasdaq: CTDC; "CTDC" ; "the Company"), aprovider of clean and renewable energy products and solutions focusing on solar energy in China, today announced that construction has begun on the Company's pilot amorphous silicon (a-Si) thin-film solar energy rooftop system at their production plant in China Merchants' Zhangzhou Development Zone("CMZD") in the Fujian province of southern China.
The a-Si thin-film rooftop project was designed by Terra Solar Global Inc., CTDC's strategic partner in the U.S., and in collaboration with China Merchants Shenzhen Electric Power Company ("CMSEPC") and CMZD. The project began in May 2008, with engineering, delivery and installation expected to take under six weeks, demonstrating the technology's capacity for rapid roll-out on demand. Upon completion in June, the Company expects this phase of the system to reach a capacity of over 7,500 Kilowatt hours (KWh) per year, providing environmental friendly energy to CTDC's manufacturing facility. The reduction in the building's dependence on the electrical grid will lead to an annual reduction of more than 4.7 tons of CO2 emissions.
"We are excited to have begun the installation of our pilot a-Sithin-film solar energy rooftop system, marking another milestone in CTDC's development as a provider of clean energy in China", Alan Li, Chairman and CEO of the Company, commented. "The construction of the solar power rooftop system is in complete accord with the renewable energy policy in China and demonstrates our commitment to the entire thin-film solar value chain. Meanwhile, we continue to focus on the commercialization of our SnO2 solar base plates in the near term."
About CTDC:
CTDC is a provider of clean and renewable energy products and solutions focusing on solar energy business in China. CTDC's ultimate principal shareholder is China Merchants Group ( http://www.cmhk.com ), one of the biggest state-owned conglomerates in China.
The a-Si thin-film rooftop project was designed by Terra Solar Global Inc., CTDC's strategic partner in the U.S., and in collaboration with China Merchants Shenzhen Electric Power Company ("CMSEPC") and CMZD. The project began in May 2008, with engineering, delivery and installation expected to take under six weeks, demonstrating the technology's capacity for rapid roll-out on demand. Upon completion in June, the Company expects this phase of the system to reach a capacity of over 7,500 Kilowatt hours (KWh) per year, providing environmental friendly energy to CTDC's manufacturing facility. The reduction in the building's dependence on the electrical grid will lead to an annual reduction of more than 4.7 tons of CO2 emissions.
"We are excited to have begun the installation of our pilot a-Sithin-film solar energy rooftop system, marking another milestone in CTDC's development as a provider of clean energy in China", Alan Li, Chairman and CEO of the Company, commented. "The construction of the solar power rooftop system is in complete accord with the renewable energy policy in China and demonstrates our commitment to the entire thin-film solar value chain. Meanwhile, we continue to focus on the commercialization of our SnO2 solar base plates in the near term."
About CTDC:
CTDC is a provider of clean and renewable energy products and solutions focusing on solar energy business in China. CTDC's ultimate principal shareholder is China Merchants Group ( http://www.cmhk.com ), one of the biggest state-owned conglomerates in China.
Yunnan Shilin to Create China's Biggest Solar Power Station
SHILIN, Jun 12, 2008 (SinoCast via COMTEX) -- Shilin, a developing city in Yunnan Province in Southwest China, will build up the country's biggest solar energy photovoltaic power station with total investment of CNY 3.7 billion.
Yunnan Power Investment New Energy Development Co., Ltd. is the main investor of this project, which is located in Shilin Town, Shilin County and covers a plot of land as large as 173.33 hectares.
The solar power station will have installed capacity of 66 megawatts and will interconnect with the local power grids to supply electricity to users in Yunnan. As a key project on the list of Yunnan Province's 2008 planning, the station is scheduled to kick off construction from October 2008 and complete within 2009.
Photovoltaic power generation is a good utility of solar energy, which is widely believed as a clean energy and is encouraged by the central government of China. Notably, Yunnan is one of the best places in China that is suitable for solar energy development because of its high altitude and strong sunshine.
Yunnan Power Investment New Energy Development Co., Ltd. is the main investor of this project, which is located in Shilin Town, Shilin County and covers a plot of land as large as 173.33 hectares.
The solar power station will have installed capacity of 66 megawatts and will interconnect with the local power grids to supply electricity to users in Yunnan. As a key project on the list of Yunnan Province's 2008 planning, the station is scheduled to kick off construction from October 2008 and complete within 2009.
Photovoltaic power generation is a good utility of solar energy, which is widely believed as a clean energy and is encouraged by the central government of China. Notably, Yunnan is one of the best places in China that is suitable for solar energy development because of its high altitude and strong sunshine.
Dalu Group's Polysilicon Production Plant Main Equipment and Deliverables to Be Delivered to Plant Site in Hohhot (China) Ahead of Schedule
Tuesday, 10 June 2008
DALU Polysilicon Company, Ltd., a business unit of Dalu Group, has been assured by its equipment supplier that their work is ahead of schedule for Dalu Group's 18,000 metric ton per year (MTY) polysilicon plant that will produce both high-purity electronic grade (EG) and solar grade (SOG) polycrystalline silicon material.
Dalu Group met with its engineering, design, construction, and equipment suppliers in Atlanta to review progress of the poly plant project. Dalu Group was assured of receiving the equipment package's design deliverables by this month. Furthermore PPP Equipment Corporation (PPP-E) and Poly Plant Project, Inc. committed to Dalu Group that they would deliver the design information necessary to allow Engineering Companies to continue their work ensuring the polysilicon production plant on schedule. Dalu has also been assured that construction of the poly-plant buildings will be completed before winter time comes in Inner Mongolia.
This is a major and important progress for Dalu's polysilicon plant and it means that the project has not been delayed. This positive news is welcomed by Kunical International Group, Ltd. (USA), and Space Energy (Japan) who, together with Dalu Group, signed a long-term polysilicon supply contract on April 2nd.
Dalu Group's Chemical Vapor Deposition (CVD) Reactors, STC-to-TCS Thermal Converters, associated power supplies, transformers, other key equipment and related process technology for their polysilicon production plant are being produced and supplied by PPP Equipment Corporation and Poly Plant Project, Inc., and will be delivered to Dalu's plant site by May 2009.
"PPP-E's world-class equipment package and PPP's process services will provide Dalu Group's plant with advanced, high productivity equipment that will enable our facility to produce EG & SOG polysilicon at the lowest possible operating cost," said Tang Longhua (Jeffrey), Vice President of Dalu Group. "We are very pleased to have PPP-E, PPP and other partners working closely together with us to design, engineer, build and equip our polysilicon production plant project."
About the Dalu Group
Located in Nanjing, China, Dalu Group is a private energy investment company in energy industries, including power system measurement and control, environmental protection, information technology and Distribution & Transmission technology. The company is now building the largest industrial base of coal, electricity, silicon, and solar energy in Inner Mongolia. Dalu Group's polysilicon production plant continues its work in the energy industry and is the first step in its growth into alternative energy technologies. The URL for Dalu's Web site is www.dalugroup.com.
About PPP Equipment Corporation and Poly Plant Project, Inc.
With headquarters in Burbank, California (USA), PPP Equipment Corporation provides a package of specialty equipment used in polysilicon production plants. This equipment includes advanced Chemical Vapor Deposition Reactors which are pressure vessels that produce high-purity polysilicon. PPP-E's complete package of polysilicon plant equipment includes advanced, high productivity Chemical Vapor Deposition Reactors, STC-to-TCS Thermal Converters, power supplies and transformers for these pressure vessels, as well as other ancillary items and include operator instruction and plant startup support. Poly Plant Project, Inc. is PPP-E's sister company and PPP provides poly plant consulting, development, and process technology solutions to companies building high-purity polysilicon production plants. More information on PPP-E and PPP can be found at www.PolyPlantProject.com.
DALU Polysilicon Company, Ltd., a business unit of Dalu Group, has been assured by its equipment supplier that their work is ahead of schedule for Dalu Group's 18,000 metric ton per year (MTY) polysilicon plant that will produce both high-purity electronic grade (EG) and solar grade (SOG) polycrystalline silicon material.
Dalu Group met with its engineering, design, construction, and equipment suppliers in Atlanta to review progress of the poly plant project. Dalu Group was assured of receiving the equipment package's design deliverables by this month. Furthermore PPP Equipment Corporation (PPP-E) and Poly Plant Project, Inc. committed to Dalu Group that they would deliver the design information necessary to allow Engineering Companies to continue their work ensuring the polysilicon production plant on schedule. Dalu has also been assured that construction of the poly-plant buildings will be completed before winter time comes in Inner Mongolia.
This is a major and important progress for Dalu's polysilicon plant and it means that the project has not been delayed. This positive news is welcomed by Kunical International Group, Ltd. (USA), and Space Energy (Japan) who, together with Dalu Group, signed a long-term polysilicon supply contract on April 2nd.
Dalu Group's Chemical Vapor Deposition (CVD) Reactors, STC-to-TCS Thermal Converters, associated power supplies, transformers, other key equipment and related process technology for their polysilicon production plant are being produced and supplied by PPP Equipment Corporation and Poly Plant Project, Inc., and will be delivered to Dalu's plant site by May 2009.
"PPP-E's world-class equipment package and PPP's process services will provide Dalu Group's plant with advanced, high productivity equipment that will enable our facility to produce EG & SOG polysilicon at the lowest possible operating cost," said Tang Longhua (Jeffrey), Vice President of Dalu Group. "We are very pleased to have PPP-E, PPP and other partners working closely together with us to design, engineer, build and equip our polysilicon production plant project."
About the Dalu Group
Located in Nanjing, China, Dalu Group is a private energy investment company in energy industries, including power system measurement and control, environmental protection, information technology and Distribution & Transmission technology. The company is now building the largest industrial base of coal, electricity, silicon, and solar energy in Inner Mongolia. Dalu Group's polysilicon production plant continues its work in the energy industry and is the first step in its growth into alternative energy technologies. The URL for Dalu's Web site is www.dalugroup.com.
About PPP Equipment Corporation and Poly Plant Project, Inc.
With headquarters in Burbank, California (USA), PPP Equipment Corporation provides a package of specialty equipment used in polysilicon production plants. This equipment includes advanced Chemical Vapor Deposition Reactors which are pressure vessels that produce high-purity polysilicon. PPP-E's complete package of polysilicon plant equipment includes advanced, high productivity Chemical Vapor Deposition Reactors, STC-to-TCS Thermal Converters, power supplies and transformers for these pressure vessels, as well as other ancillary items and include operator instruction and plant startup support. Poly Plant Project, Inc. is PPP-E's sister company and PPP provides poly plant consulting, development, and process technology solutions to companies building high-purity polysilicon production plants. More information on PPP-E and PPP can be found at www.PolyPlantProject.com.
China In-Focus: Suntech To Launch Products For The European Market
Jun 11, 2008 (financialwire.net via COMTEX) -- June 11, 2008 (FinancialWire) Suntech Power Holdings said it will introduce its Just Roof, Light Thru and QuikSnap building integrated PV products this week at the upcoming Intersolar Technology Trade Fair 2008.
Intersolar will be held from June 12-14, 2008 at The New Trade Fair Centre in Munich, Germany.
Suntech's Just Roof can become an insulated building material to create a rooftop from, while its Light Thru products allow natural sunlight to enter a building.
Intersolar will be held from June 12-14, 2008 at The New Trade Fair Centre in Munich, Germany.
Suntech's Just Roof can become an insulated building material to create a rooftop from, while its Light Thru products allow natural sunlight to enter a building.
ARISE Technologies Signs Six-Year Agreement for Supply of Silicon Wafers From ReneSola
WATERLOO, ON, June 11 /CNW/ - ARISE Technologies Corporation, which is dedicated to becoming a leader in high-performance, cost-effective solar technology, today announced that its wholly owned subsidiary, ARISE Technologies Deutschland GmbH (ARISE Germany) has signed a six-year agreement with a wholly owned subsidiary of ReneSola Ltd (NYSE: SOL and AIM: SOLA.L) to supply ARISE with 203.5 MW of silicon wafers. ReneSola Ltd is a leading solar wafer manufacturer based in China.
The agreement with Zhejiang Yuhui Energy Source Co., Ltd. commences July 1, 2008 and extends through June 30, 2014. Shipments are expected to consist of 203.5 MW of silicon wafers over the 6-year term. Pricing and payment termsare consistent with current standard industry practices.
"With this agreement, ARISE now has supply contracts for 100 percent of the solar wafers that we require in 2008 and approximately 60 percent of our needs for 2009 for our PV (photovoltaic) cell production plans at our new German manufacturing plant," said Bart Tichelman, President and Chief Executive Officer. "ReneSola is the seventh, high-quality silicon wafer manufacturer with which ARISE now has developed a supply relationship that we believe will enable us to meet our longer-term requirements."
About ReneSola
ReneSola Ltd is a leading solar wafer manufacturer based in China. Capitalizing on proprietary technologies and technical know-how, ReneSola manufactures monocrystalline and multicrystalline solar wafers. In addition, ReneSola strives to enhance its competitiveness through upstream integration into virgin polysilicon manufacturing. ReneSola possesses a global network of suppliers and customers that include some of the leading global manufacturers of solar cells and modules. ReneSola's shares are currently traded on the New York Stock Exchange (NYSE: SOL) and the AIM of the London Stock Exchange (AIM:SOLA.L). For more information about ReneSola, please visit http://www.renesola.com.
About ARISE Technologies
ARISE Technologies Corporation, based in Waterloo, Ontario, is dedicated to becoming a leader in high-performance, cost-effective solar technology. The company operates through three divisions. The PV Cell Division manufactures PV(photovoltaic) cells at its first manufacturing plant opened in April 2008 in Bischofswerda, Germany. The division is developing proprietary technology with a target of achieving a step-by-step progression to a high-efficiency level of greater than 20 percent. The PV Silicon Division is using a proprietary method to produce silicon at 7N+ high-purity (99.99999 percent purity) for PV cell applications, based on a simplified chemical vapor deposition process. The division is focusing on scaling up its process to provide ARISE with control over its supply, costs, and quality. The PV Systems Division provides complete turnkey PV solutions for solar farms and rooftop installations under the Ontario standard offer program.
The agreement with Zhejiang Yuhui Energy Source Co., Ltd. commences July 1, 2008 and extends through June 30, 2014. Shipments are expected to consist of 203.5 MW of silicon wafers over the 6-year term. Pricing and payment termsare consistent with current standard industry practices.
"With this agreement, ARISE now has supply contracts for 100 percent of the solar wafers that we require in 2008 and approximately 60 percent of our needs for 2009 for our PV (photovoltaic) cell production plans at our new German manufacturing plant," said Bart Tichelman, President and Chief Executive Officer. "ReneSola is the seventh, high-quality silicon wafer manufacturer with which ARISE now has developed a supply relationship that we believe will enable us to meet our longer-term requirements."
About ReneSola
ReneSola Ltd is a leading solar wafer manufacturer based in China. Capitalizing on proprietary technologies and technical know-how, ReneSola manufactures monocrystalline and multicrystalline solar wafers. In addition, ReneSola strives to enhance its competitiveness through upstream integration into virgin polysilicon manufacturing. ReneSola possesses a global network of suppliers and customers that include some of the leading global manufacturers of solar cells and modules. ReneSola's shares are currently traded on the New York Stock Exchange (NYSE: SOL) and the AIM of the London Stock Exchange (AIM:SOLA.L). For more information about ReneSola, please visit http://www.renesola.com.
About ARISE Technologies
ARISE Technologies Corporation, based in Waterloo, Ontario, is dedicated to becoming a leader in high-performance, cost-effective solar technology. The company operates through three divisions. The PV Cell Division manufactures PV(photovoltaic) cells at its first manufacturing plant opened in April 2008 in Bischofswerda, Germany. The division is developing proprietary technology with a target of achieving a step-by-step progression to a high-efficiency level of greater than 20 percent. The PV Silicon Division is using a proprietary method to produce silicon at 7N+ high-purity (99.99999 percent purity) for PV cell applications, based on a simplified chemical vapor deposition process. The division is focusing on scaling up its process to provide ARISE with control over its supply, costs, and quality. The PV Systems Division provides complete turnkey PV solutions for solar farms and rooftop installations under the Ontario standard offer program.
Canadian Solar Announces Delivery of BIPV Modules for 2008 Olympics
JIANGSU, China, June 11 /Xinhua-PRNewswire/ -- Canadian Solar Inc. ('the Company', 'CSI' or 'we') (Nasdaq: CSIQ) today announced it has completed the delivery of 66 KW of BIPV modules for the lamp posts along the Olympic Boulevard from the 'Bird's Nest', the main stadium for the 2008 Olympic Games, to the Olympic Square. This BIPV project sits right on the axis of Beijing, symbolizing the nation's increasing commitment to sustainable development. Over its 25-year operating lifespan, this solar power system, with modules horizontally placed for aesthetic purpose, will still generate more than 1,925,000 Kilowatt hours and reduce CO2 emissions by more than 2750 tons.
Dr. Shawn Qu, Chairman and CEO of Canadian Solar Inc. commented: 'We are very pleased to have won this prestigious contract and be a part of the 2008 Olympics. BIPV directly applies solar technology to architecture, which is a fast growing area of solar applications. Given CSI's years of experience in specialty solar modules and customized solar system design, we are ready to bring our expertise to many other future BIPV projects. China is on its way towards becoming a major solar market, and this contract will help us improve our already strong foot hold in the market.'
China instituted its 'Renewable Energy Law' in 2006, making it mandatory for the State Electric Grid to connect to solar power and pay favorable feed-in tariffs. The execution procedure for this law, however, has yet to be released. Additionally, in August 2007, China's National Development & Reform Commission (NDRC) published its national development strategy for renewable energy. According to this strategy, China targets to install 300 MW cumulative solar generation capacity by 2010 and 1.8 GW by 2020.
About Canadian Solar Inc. (Nasdaq: CSIQ)
Founded in 2001, Canadian Solar Inc. (CSI) is a vertically integrated manufacturer of solar cell, solar module and custom-designed solar application products serving customers worldwide. CSI is incorporated in Canada and conducts all of its manufacturing operations in China. Backed by years of experience and knowledge in the solar power market and the silicon industry, CSI has become a major global provider of solar power products for a wide range of applications. For more information, please visit http://www.csisolar.com .
Dr. Shawn Qu, Chairman and CEO of Canadian Solar Inc. commented: 'We are very pleased to have won this prestigious contract and be a part of the 2008 Olympics. BIPV directly applies solar technology to architecture, which is a fast growing area of solar applications. Given CSI's years of experience in specialty solar modules and customized solar system design, we are ready to bring our expertise to many other future BIPV projects. China is on its way towards becoming a major solar market, and this contract will help us improve our already strong foot hold in the market.'
China instituted its 'Renewable Energy Law' in 2006, making it mandatory for the State Electric Grid to connect to solar power and pay favorable feed-in tariffs. The execution procedure for this law, however, has yet to be released. Additionally, in August 2007, China's National Development & Reform Commission (NDRC) published its national development strategy for renewable energy. According to this strategy, China targets to install 300 MW cumulative solar generation capacity by 2010 and 1.8 GW by 2020.
About Canadian Solar Inc. (Nasdaq: CSIQ)
Founded in 2001, Canadian Solar Inc. (CSI) is a vertically integrated manufacturer of solar cell, solar module and custom-designed solar application products serving customers worldwide. CSI is incorporated in Canada and conducts all of its manufacturing operations in China. Backed by years of experience and knowledge in the solar power market and the silicon industry, CSI has become a major global provider of solar power products for a wide range of applications. For more information, please visit http://www.csisolar.com .
Tuesday, June 10, 2008
Trina Solar Announces First Quarter 2008 Results
CHANGZHOU, China, June 6 /Xinhua-PRNewswire-FirstCall/ -- Trina Solar Limited (NYSE: TSL) (''Trina Solar'' or the ''Company''), a leading integrated manufacturer of solar photovoltaic products from the production of ingots, wafers and cells to the assembly of PV modules, founded in 1997, today announced its financial results for the first quarter 2008.
First Quarter 2008 Financial and Operations Highlights
-- Solar module shipments were 29.49 MW, up 180.3% from 10.52 MW in the first quarter of 2007 and 23.3% from 23.91 MW in the fourth quarter of 2007
-- Total net revenues increased to $120.7 million, up 183.6% year-over- year and 19.0% sequentially
-- Gross profit was $31.1 million, an increase of 226.8% year-over-year and 12.6% sequentially
-- Gross margin was 25.8%, compared to 22.3% in the first quarter of 2007 and 27.2% in the fourth quarter of 2007
-- Operating margin was 16.7%, compared to 10.5% in the first quarter of 2007 and 16.0% in the fourth quarter of 2007
-- Net income was $12.9 million, compared to $4.8 million in the first quarter of 2007 and $15.7 million in the fourth quarter of 2007
-- Net income of $12.9 million includes a foreign currency exchange loss of $4.0 million, primarily associated with the remeasurement of the non-US dollar denominated obligations in the US dollar functional currency
-- Earnings per fully-diluted ADS was $0.51
''We are pleased with our first quarter performance, as we benefited from our integrated manufacturing capabilities to offset higher silicon feedstock costs,'' said Trina Solar's Chairman and CEO, Jifan Gao. "We also made solid progress on our technology roadmap, including reducing wafer thickness and other process improvements, all of which contributed to lower our module manufacturing costs. These developments, combined with our new automated wafer and cell line manufacturing workshops, are central to our strategy of continuously improving our technology platform, ensuring our low cost position through a vertically integrated business model, and developing a strong brand globally.''
First Quarter 2008 and Recent Business Highlights
-- Expanded capacity to approximately 200 MW for each of ingot, wafer, cell and module production as of March 31, 2008
-- Introduced automation and in-line processing to new cell production lines 7 and 8
-- Achieved 100% in-house cell processing, an increase from approximately 75% in the fourth quarter of 2007
-- Reduced monocrystalline and multicrystalline wafer thicknesses from 200 to 180 microns and from 220 to 200 microns, respectively
-- Enhanced the Company's brand recognition and market share by further developing sales channels in developing solar markets, including Belgium, France, Korea, Australia and the Netherlands
-- Received Underwriters Laboratory (UL) certifications to initiate sales in the United States, with initial contracts secured for the second half of 2008 and throughout 2009
-- Contracted 100% and 90% of first and second half of 2008 targeted module production, respectively, or approximately 95% of 2008 targeted module production of 200 MW to 210 MW
-- Announced long-term polysilicon supply contracts with GCL Silicon Technologies, Silfab S.p.A. and Qingdao DTK
-- Initiated deliveries to customers on a long-term contract basis to increase visibility on 2009 business such as Phoenix (Germany), Proinso (Spain), Pirelli (Italy) and Clipsol (France)
First Quarter 2008 Results
Net Revenue
Trina Solar's net revenues in the first quarter of 2008 were $120.7 million, an increase of 19.0% sequentially and 183.6% year-over-year. Total shipments in the first quarter of 2008 increased to 29.49 MW, up from 23.91 MW in the fourth quarter of 2007 and 10.52 MW in the first quarter of 2007. Average sales price ("ASP") was $3.95 in the first quarter of 2008, compared to $3.94 in the fourth quarter of 2007 and $3.80 in the firstquarter of 2007.
Gross Profit and Margin
Gross profit in the first quarter of 2008 was $31.1 million, an increase of 12.6% sequentially and 226.8% year-over-year. Gross margin was 25.8% in the first quarter of 2008, a decrease from 27.2% in the fourth quarter of 2007 and an increase from 22.3% in the first quarter of 2007. The sequential decrease was predominantly due to higher cost of silicon raw materials. The year-over-year increase in gross margin was primarily due to higher module ASP and cost efficiencies from in-house cell production.
Operating Expense, Income and Margin
Operating expenses in the first quarter of 2008 were $10.9 million, representing 9.0% of first quarter net revenues, a decrease of 11.2% from the fourth quarter of 2007 and 11.8% from the first quarter of 2007. The sequential and year-over-year decreases were primarily due to lower general and administrative (''G&A'') expenses and sales and marketing expenses as a proportion of total net revenues. Operating expenses in the first quarterof 2008 included approximately $1.3 million of share-based compensation expenses. Operating income in the first quarter of 2008 was $20.2 million, an increase of 24.5% sequentially and 352.2% year-over-year.
Operating margin was 16.7% in the first quarter of 2008, compared to 16.0% in the fourth quarter of 2007 and 10.5% in the first quarter of 2007. The sequential and year-over-year increases in operating margin were due to increased manufacturing benefits from vertical integration.
Change of Functional Currency
Effective January 1, 2008, the Company changed the functional currency of its operating subsidiary, Changzhou Trina Solar Energy Co., Ltd.(''Trina China''), from RMB to US dollars. This change is in accordance with FASB Statement No. 52, "Foreign Currency Translation", and was basedon Trina China's significant and sustained shift in conducting a majority of its business activities in US dollars. During the first quarter of 2008, the Company recorded an exchange loss of $4.0 million, which was primarily associated with Trina China's non-US-denominated obligations that are now required to be remeasured in the US dollar functional currency. Such remeasurements are and will continue to be, to the extent we continue to have such non-US denominated obligations, recorded as transaction gains or losses in the consolidated statement of operations.
Interest Expense and Income
Interest expense in the first quarter of 2008 was $3.5 million, compared to $2.6 million in the fourth quarter of 2007 and $1.2 million in the first quarter of 2007. The sequential and year-over-year increases were due to additional bank borrowings and an increase in interest rates. Interest Income was $1.2 million in the first quarter of 2008, compared to $2.4 million in the fourth quarter of 2007 and $0.4 million in the first quarter of 2007.
Net Income and EPS
Net income was $12.9 million in the first quarter of 2008, compared to $15.7 million in the fourth quarter of 2007 and $4.8 million in the first quarter of 2007. Net Income of $12.9 million includes a foreign currency exchange loss of $4.0 million, primarily associated with the remeasurement of Trina China's non-US dollar denominated obligations in the US dollar functional currency. Net margin was 10.7% in the first quarter of 2008, compared to 15.5% in the fourth quarter of 2007 and 11.2% in the first quarter of 2007. Earnings per fully diluted ADS in the quarter were $0.51.
Embedded Derivative
The Company's quarterly and yearly 2007 financial statements are subject to change based on the Company completing its computation of the fair value of a foreign exchange derivative embedded in a material long-term silicon supply contract. Such contract provides that the purchase price of the silicon to be acquired be denominated in US dollars, which is not the functional currency of either of the contracting parties at the time the contract was entered into. Given the continued strengthening of the RMB against the US dollar, the Company believes that the ultimate impact will be an increase in earnings for the year 2007. The impact, if material, will be recorded as ''change in fair value of derivative'' a non-cash and non-operating item in the consolidated statement of operations.
Due to the change of Trina China's functional currency to US dollars, effective January 1, 2008, this contract-related embedded derivative will no longer be required to be measured at fair value with changes in fair value recorded in the consolidated statement of operations. However,''Retained earnings,'' ''Total shareholders' equity'' and ''Totalliabilities and shareholders' equity'' items in the balance sheet of our financial statements as of March 31, 2008 may be subject to change upon completion of the computation of the embedded derivative due to its existence as of and for the year ended December 31, 2007.
Financial Condition
As of March 31, 2008, the Company had $38.2 million in cash and cash equivalents, which excludes the Company's restricted cash balance of $126.0million. Restricted cash comprises deposits pledged to banks to secure bank borrowings and letter of credit facilities. The Company's working capital balance was $84.8 million. Total bank borrowings stood at $259.7 million, of which $14.2 million were long-term borrowings. Shareholders' equity as of March 31, 2008 was $380.9 million.
Business Operations Outlook
2008 Silicon Feedstock
The Company has now secured approximately 95% of its estimated silicon feedstock requirements for 2008.
Sales Markets
The Company continues to expand its geographic sales distribution outside of the primary European PV markets, including contracts with Enfinity (Belgium), Giordano and Solargie (France), Pirelli-SolarUtility (Italy), and Worldwide Energy (United States). Approximately 95% of the Company's targeted 2008 module production of 200 MW to 210 MW has now been contracted.
Discontinuance of Polysilicon Project
On April 14, 2008, the Company announced its decision to discontinue the development of its previously announced 10,000 MT polysilicon production facility. The Company made this strategic decision after careful assessment of its raw material requirements in conjunction with recent and favorable developments in the long-term polysilicon supply environment. The Company now believes it has greater access to polysilicon feedstock to support its growth objectives, particularly that the Company has signed long-term contracts covering large amounts of polysilicon feedstock, while achieving the necessary cost reductions to maintain its competitive advantage. To address its future polysilicon requirements, the Company will continue to negotiate and sign long-term contracts to meet its strategic supply needs. Additionally, the Company will consider strategic investment options in future polysilicon projects which offer attractive economics and involve smaller investment requirements, although no projects are currently under consideration. The Company's decision to discontinue the project will not affect the amount of polysilicon feedstock it expects to receive in 2008 and 2009.
Second Quarter and Fiscal Year 2008 Guidance
For the second quarter of 2008, the Company expects to ship between 43 MW and 45 MW of PV modules and has expectations of total net revenues in the range of $169 million to $177 million. The Company believes gross margin for the second quarter will likely be between 23% and 25% and estimates operating margin to range between 13.5% to 15.5% of total net revenues.
For the full year of 2008 the Company expects total net revenues to be in the range of $770 million to $808 million, with PV module shipments between 200 MW to 210 MW. The Company is expecting gross margin for the year between 23% and 25% and believes operating margin will likely be in the range of 15% to 17% of total net revenues.
First Quarter 2008 Financial and Operations Highlights
-- Solar module shipments were 29.49 MW, up 180.3% from 10.52 MW in the first quarter of 2007 and 23.3% from 23.91 MW in the fourth quarter of 2007
-- Total net revenues increased to $120.7 million, up 183.6% year-over- year and 19.0% sequentially
-- Gross profit was $31.1 million, an increase of 226.8% year-over-year and 12.6% sequentially
-- Gross margin was 25.8%, compared to 22.3% in the first quarter of 2007 and 27.2% in the fourth quarter of 2007
-- Operating margin was 16.7%, compared to 10.5% in the first quarter of 2007 and 16.0% in the fourth quarter of 2007
-- Net income was $12.9 million, compared to $4.8 million in the first quarter of 2007 and $15.7 million in the fourth quarter of 2007
-- Net income of $12.9 million includes a foreign currency exchange loss of $4.0 million, primarily associated with the remeasurement of the non-US dollar denominated obligations in the US dollar functional currency
-- Earnings per fully-diluted ADS was $0.51
''We are pleased with our first quarter performance, as we benefited from our integrated manufacturing capabilities to offset higher silicon feedstock costs,'' said Trina Solar's Chairman and CEO, Jifan Gao. "We also made solid progress on our technology roadmap, including reducing wafer thickness and other process improvements, all of which contributed to lower our module manufacturing costs. These developments, combined with our new automated wafer and cell line manufacturing workshops, are central to our strategy of continuously improving our technology platform, ensuring our low cost position through a vertically integrated business model, and developing a strong brand globally.''
First Quarter 2008 and Recent Business Highlights
-- Expanded capacity to approximately 200 MW for each of ingot, wafer, cell and module production as of March 31, 2008
-- Introduced automation and in-line processing to new cell production lines 7 and 8
-- Achieved 100% in-house cell processing, an increase from approximately 75% in the fourth quarter of 2007
-- Reduced monocrystalline and multicrystalline wafer thicknesses from 200 to 180 microns and from 220 to 200 microns, respectively
-- Enhanced the Company's brand recognition and market share by further developing sales channels in developing solar markets, including Belgium, France, Korea, Australia and the Netherlands
-- Received Underwriters Laboratory (UL) certifications to initiate sales in the United States, with initial contracts secured for the second half of 2008 and throughout 2009
-- Contracted 100% and 90% of first and second half of 2008 targeted module production, respectively, or approximately 95% of 2008 targeted module production of 200 MW to 210 MW
-- Announced long-term polysilicon supply contracts with GCL Silicon Technologies, Silfab S.p.A. and Qingdao DTK
-- Initiated deliveries to customers on a long-term contract basis to increase visibility on 2009 business such as Phoenix (Germany), Proinso (Spain), Pirelli (Italy) and Clipsol (France)
First Quarter 2008 Results
Net Revenue
Trina Solar's net revenues in the first quarter of 2008 were $120.7 million, an increase of 19.0% sequentially and 183.6% year-over-year. Total shipments in the first quarter of 2008 increased to 29.49 MW, up from 23.91 MW in the fourth quarter of 2007 and 10.52 MW in the first quarter of 2007. Average sales price ("ASP") was $3.95 in the first quarter of 2008, compared to $3.94 in the fourth quarter of 2007 and $3.80 in the firstquarter of 2007.
Gross Profit and Margin
Gross profit in the first quarter of 2008 was $31.1 million, an increase of 12.6% sequentially and 226.8% year-over-year. Gross margin was 25.8% in the first quarter of 2008, a decrease from 27.2% in the fourth quarter of 2007 and an increase from 22.3% in the first quarter of 2007. The sequential decrease was predominantly due to higher cost of silicon raw materials. The year-over-year increase in gross margin was primarily due to higher module ASP and cost efficiencies from in-house cell production.
Operating Expense, Income and Margin
Operating expenses in the first quarter of 2008 were $10.9 million, representing 9.0% of first quarter net revenues, a decrease of 11.2% from the fourth quarter of 2007 and 11.8% from the first quarter of 2007. The sequential and year-over-year decreases were primarily due to lower general and administrative (''G&A'') expenses and sales and marketing expenses as a proportion of total net revenues. Operating expenses in the first quarterof 2008 included approximately $1.3 million of share-based compensation expenses. Operating income in the first quarter of 2008 was $20.2 million, an increase of 24.5% sequentially and 352.2% year-over-year.
Operating margin was 16.7% in the first quarter of 2008, compared to 16.0% in the fourth quarter of 2007 and 10.5% in the first quarter of 2007. The sequential and year-over-year increases in operating margin were due to increased manufacturing benefits from vertical integration.
Change of Functional Currency
Effective January 1, 2008, the Company changed the functional currency of its operating subsidiary, Changzhou Trina Solar Energy Co., Ltd.(''Trina China''), from RMB to US dollars. This change is in accordance with FASB Statement No. 52, "Foreign Currency Translation", and was basedon Trina China's significant and sustained shift in conducting a majority of its business activities in US dollars. During the first quarter of 2008, the Company recorded an exchange loss of $4.0 million, which was primarily associated with Trina China's non-US-denominated obligations that are now required to be remeasured in the US dollar functional currency. Such remeasurements are and will continue to be, to the extent we continue to have such non-US denominated obligations, recorded as transaction gains or losses in the consolidated statement of operations.
Interest Expense and Income
Interest expense in the first quarter of 2008 was $3.5 million, compared to $2.6 million in the fourth quarter of 2007 and $1.2 million in the first quarter of 2007. The sequential and year-over-year increases were due to additional bank borrowings and an increase in interest rates. Interest Income was $1.2 million in the first quarter of 2008, compared to $2.4 million in the fourth quarter of 2007 and $0.4 million in the first quarter of 2007.
Net Income and EPS
Net income was $12.9 million in the first quarter of 2008, compared to $15.7 million in the fourth quarter of 2007 and $4.8 million in the first quarter of 2007. Net Income of $12.9 million includes a foreign currency exchange loss of $4.0 million, primarily associated with the remeasurement of Trina China's non-US dollar denominated obligations in the US dollar functional currency. Net margin was 10.7% in the first quarter of 2008, compared to 15.5% in the fourth quarter of 2007 and 11.2% in the first quarter of 2007. Earnings per fully diluted ADS in the quarter were $0.51.
Embedded Derivative
The Company's quarterly and yearly 2007 financial statements are subject to change based on the Company completing its computation of the fair value of a foreign exchange derivative embedded in a material long-term silicon supply contract. Such contract provides that the purchase price of the silicon to be acquired be denominated in US dollars, which is not the functional currency of either of the contracting parties at the time the contract was entered into. Given the continued strengthening of the RMB against the US dollar, the Company believes that the ultimate impact will be an increase in earnings for the year 2007. The impact, if material, will be recorded as ''change in fair value of derivative'' a non-cash and non-operating item in the consolidated statement of operations.
Due to the change of Trina China's functional currency to US dollars, effective January 1, 2008, this contract-related embedded derivative will no longer be required to be measured at fair value with changes in fair value recorded in the consolidated statement of operations. However,''Retained earnings,'' ''Total shareholders' equity'' and ''Totalliabilities and shareholders' equity'' items in the balance sheet of our financial statements as of March 31, 2008 may be subject to change upon completion of the computation of the embedded derivative due to its existence as of and for the year ended December 31, 2007.
Financial Condition
As of March 31, 2008, the Company had $38.2 million in cash and cash equivalents, which excludes the Company's restricted cash balance of $126.0million. Restricted cash comprises deposits pledged to banks to secure bank borrowings and letter of credit facilities. The Company's working capital balance was $84.8 million. Total bank borrowings stood at $259.7 million, of which $14.2 million were long-term borrowings. Shareholders' equity as of March 31, 2008 was $380.9 million.
Business Operations Outlook
2008 Silicon Feedstock
The Company has now secured approximately 95% of its estimated silicon feedstock requirements for 2008.
Sales Markets
The Company continues to expand its geographic sales distribution outside of the primary European PV markets, including contracts with Enfinity (Belgium), Giordano and Solargie (France), Pirelli-SolarUtility (Italy), and Worldwide Energy (United States). Approximately 95% of the Company's targeted 2008 module production of 200 MW to 210 MW has now been contracted.
Discontinuance of Polysilicon Project
On April 14, 2008, the Company announced its decision to discontinue the development of its previously announced 10,000 MT polysilicon production facility. The Company made this strategic decision after careful assessment of its raw material requirements in conjunction with recent and favorable developments in the long-term polysilicon supply environment. The Company now believes it has greater access to polysilicon feedstock to support its growth objectives, particularly that the Company has signed long-term contracts covering large amounts of polysilicon feedstock, while achieving the necessary cost reductions to maintain its competitive advantage. To address its future polysilicon requirements, the Company will continue to negotiate and sign long-term contracts to meet its strategic supply needs. Additionally, the Company will consider strategic investment options in future polysilicon projects which offer attractive economics and involve smaller investment requirements, although no projects are currently under consideration. The Company's decision to discontinue the project will not affect the amount of polysilicon feedstock it expects to receive in 2008 and 2009.
Second Quarter and Fiscal Year 2008 Guidance
For the second quarter of 2008, the Company expects to ship between 43 MW and 45 MW of PV modules and has expectations of total net revenues in the range of $169 million to $177 million. The Company believes gross margin for the second quarter will likely be between 23% and 25% and estimates operating margin to range between 13.5% to 15.5% of total net revenues.
For the full year of 2008 the Company expects total net revenues to be in the range of $770 million to $808 million, with PV module shipments between 200 MW to 210 MW. The Company is expecting gross margin for the year between 23% and 25% and believes operating margin will likely be in the range of 15% to 17% of total net revenues.
Forum on solar energy applications kicks off
By Huang Zhiling, Wang Wei (chinadaily.com.cn)
Updated: 2008-06-06 14:42
CHENGDU: The three-day First West China Solar Photovoltaic Industry and New Energy Development Forum started Friday morning in Shuangliu, a county under the administration of Chengdu, capital of Sichuan Province.
The forum, which has drawn more than 300 government officials, domestic and overseas experts in the solar photovoltaic and new energy sectors and investors, will discuss the development trends of China's solar photovoltaic and new energy sectors, said Shi Dinghuan, chairman of the Chinese Renewable Energy Industries Association.
With the mounting pressure on energy supply and increasing pollution on the environment, the world is paying more attention to the solar energy as a clean energy source.
As a result, the solar photovoltaic industry has become one of the fastest growing energy sectors in the world, and China has plans to become the world's largest market in terms of using solar energy.
Seventeen investment projects were signed at the forum, valued at 14.5 billion yuan (US$2.1 billion) Friday, between the Shuangliu county government and three companies from Sichuan. The projects are in the fields of solar photovoltaic, new energy, machinery, electronics and aviation service.
Shuangliu has attached great importance to development of the solar photovoltaic industry since 2004, and has ranked among the country's top 100 strongest counties in terms of economic development for seven consecutive years.
Updated: 2008-06-06 14:42
CHENGDU: The three-day First West China Solar Photovoltaic Industry and New Energy Development Forum started Friday morning in Shuangliu, a county under the administration of Chengdu, capital of Sichuan Province.
The forum, which has drawn more than 300 government officials, domestic and overseas experts in the solar photovoltaic and new energy sectors and investors, will discuss the development trends of China's solar photovoltaic and new energy sectors, said Shi Dinghuan, chairman of the Chinese Renewable Energy Industries Association.
With the mounting pressure on energy supply and increasing pollution on the environment, the world is paying more attention to the solar energy as a clean energy source.
As a result, the solar photovoltaic industry has become one of the fastest growing energy sectors in the world, and China has plans to become the world's largest market in terms of using solar energy.
Seventeen investment projects were signed at the forum, valued at 14.5 billion yuan (US$2.1 billion) Friday, between the Shuangliu county government and three companies from Sichuan. The projects are in the fields of solar photovoltaic, new energy, machinery, electronics and aviation service.
Shuangliu has attached great importance to development of the solar photovoltaic industry since 2004, and has ranked among the country's top 100 strongest counties in terms of economic development for seven consecutive years.
Friday, June 6, 2008
Yingli Green Energy Signs a Sales Contract with EN-NEO
June 05, 2008
BAODING, China--(BUSINESS WIRE)--Yingli Green Energy Holding Company Limited (NYSE: YGE) ("Yingli Green Energy" or the "Company"), one of the world's leading vertically integrated photovoltaic ("PV") product manufacturers, today announced that it has entered into a sales contract with EN-NEO NEUE ENERGIEN GmbH ("EN-NEO"), one of the leading specialists in PV energy projects worldwide. Under the terms of the agreement, Yingli Green Energy is expected to supply 9.19 MW of PV modules to EN-NEO from October 2008 to December 2008. In addition, EN-NEO has an option to purchase another 9 MW of PV modules from Yingli Green Energy in 2009. The modules to be supplied will be installed in a solar power plant EN-NEO is constructing in Bad Sobernheim, Germany.
"Our well-recognized products and rich experience in cooperating with leading PV system specialists will provide effective support to EN-NEO in the construction of economical and environmentally friendly PV power plants," said Mr. Liansheng Miao, Chairman and CEO of Yingli Green Energy. "We are expecting further cooperation with EN-NEO in future."
About Yingli Green Energy
Yingli Green Energy Holding Company Limited is one of the world's leading vertically integrated PV product manufacturers. Through the Company's principal operating subsidiary in China, Baoding Tianwei Yingli New Energy Resources Co., Ltd., Yingli Green Energy designs, manufactures and sells PV modules and designs, assembles, sells and installs PV systems that are connected to an electricity transmission grid or those that operate on a stand-alone basis. With 200 MW of total annual production capacity in each of polysilicon ingots and wafers, PV cells and PV modules, Yingli Green Energy is currently one of the largest manufacturers of PV products in the world as measured by annual production capacity. Additionally, Yingli Green Energy is one of the limited numbers of large-scale PV companies in the world to have adopted vertical integration as its business model. Yingli Green Energy currently plans to gradually expand annual production capacity of polysilicon ingots and wafers, PV cells and PV modules to 400 MW by the end of 2008 and to 600 MW by mid-2009. Yingli Green Energy sells PV modules under its own brand name, Yingli Solar, to PV system integrators and distributors located in various markets around the world, including Germany, Spain, Italy, China and the United States. For more information, please visit www.yinglisolar.com.
BAODING, China--(BUSINESS WIRE)--Yingli Green Energy Holding Company Limited (NYSE: YGE) ("Yingli Green Energy" or the "Company"), one of the world's leading vertically integrated photovoltaic ("PV") product manufacturers, today announced that it has entered into a sales contract with EN-NEO NEUE ENERGIEN GmbH ("EN-NEO"), one of the leading specialists in PV energy projects worldwide. Under the terms of the agreement, Yingli Green Energy is expected to supply 9.19 MW of PV modules to EN-NEO from October 2008 to December 2008. In addition, EN-NEO has an option to purchase another 9 MW of PV modules from Yingli Green Energy in 2009. The modules to be supplied will be installed in a solar power plant EN-NEO is constructing in Bad Sobernheim, Germany.
"Our well-recognized products and rich experience in cooperating with leading PV system specialists will provide effective support to EN-NEO in the construction of economical and environmentally friendly PV power plants," said Mr. Liansheng Miao, Chairman and CEO of Yingli Green Energy. "We are expecting further cooperation with EN-NEO in future."
About Yingli Green Energy
Yingli Green Energy Holding Company Limited is one of the world's leading vertically integrated PV product manufacturers. Through the Company's principal operating subsidiary in China, Baoding Tianwei Yingli New Energy Resources Co., Ltd., Yingli Green Energy designs, manufactures and sells PV modules and designs, assembles, sells and installs PV systems that are connected to an electricity transmission grid or those that operate on a stand-alone basis. With 200 MW of total annual production capacity in each of polysilicon ingots and wafers, PV cells and PV modules, Yingli Green Energy is currently one of the largest manufacturers of PV products in the world as measured by annual production capacity. Additionally, Yingli Green Energy is one of the limited numbers of large-scale PV companies in the world to have adopted vertical integration as its business model. Yingli Green Energy currently plans to gradually expand annual production capacity of polysilicon ingots and wafers, PV cells and PV modules to 400 MW by the end of 2008 and to 600 MW by mid-2009. Yingli Green Energy sells PV modules under its own brand name, Yingli Solar, to PV system integrators and distributors located in various markets around the world, including Germany, Spain, Italy, China and the United States. For more information, please visit www.yinglisolar.com.
China Tianwei plans rights issue for solar projects
SHANGHAI, June 4 (Reuters) - China's Baoding Tianwei Baobian Electric Co Ltd said on Wednesday it plans to issue new stock to shareholders to raise funds for 3.2 billion yuan ($462 million) in solar energy projects and other business requirements.
The company plans to issue up to 210 million additional shares, or up to 1.8 shares for each 10 held, to fund a solar energy panel project, two polysilicon production lines, repayment of bonds and improvement of its cash position.
It added that if the rights issue does not raise enough funds to meet the 3.2 billion yuan requirement, it would secure the remainder from its own funds or bank loans.
It said the offer price for the shares would be determined based on net assets per-share in the most recent results report. The company reported net assets per share of 4.19 yuan in the result for the first quarter.
The company's shares ended at 39.34 yuan on Tuesday. They have risen about 10 percent this year, compared with a one-third drop in Shanghai's benchmark index .SSEC.
The company plans to issue up to 210 million additional shares, or up to 1.8 shares for each 10 held, to fund a solar energy panel project, two polysilicon production lines, repayment of bonds and improvement of its cash position.
It added that if the rights issue does not raise enough funds to meet the 3.2 billion yuan requirement, it would secure the remainder from its own funds or bank loans.
It said the offer price for the shares would be determined based on net assets per-share in the most recent results report. The company reported net assets per share of 4.19 yuan in the result for the first quarter.
The company's shares ended at 39.34 yuan on Tuesday. They have risen about 10 percent this year, compared with a one-third drop in Shanghai's benchmark index .SSEC.
Solar power looks into a brighter future
(China Daily)Updated: 2008-06-03 14:39
Michael R. Splinter
The world's largest maker of semiconductor production equipment, Applied Materials, is increasingly honing its focus on solar panels as semiconductor demand wanes.
The company recently announced the largest deal to date in the industry, worth $1.9 billion, in which it would build the world's largest solar-panel manufacturing plant.
After joining the firm five years ago, president and CEO Michael R. Splinter has pushed Applied Materials to become the semiconductor industry's No 1 firm for 17 consecutive years. Splinter discussed the company's growth strategy with China Daily reporter Zhang Qi.
Q: What made Applied Materials decide to switch from focusing on semiconductors to solar power?
A: Applied Materials has a long history of cooperation with China on challenging technological problems.
We were the first company in our industry to establish operations in China back in 1984. Since then, we have been working together to support the growth of the semiconductor industry and the establishment of manufacturing capacity for flat panel displays.
Our flat panel manufacturing systems have helped the industry decrease the cost of flat panel displays by 20 times over the last 10 years.
This is what we must do with solar. We must lower the cost-per-watt of solar power to competitive levels and let market demand grow in proportion. At Applied Materials, this is the focus of our solar efforts, and I'm confident that, together with our customers and partners, we will make tremendous progress in establishing solar infrastructure.
Q: What kind of technologies does Applied Materials use in sunfab thin-film manufacturing?
A: There are different kinds of thin-film technologies. There is Cadmium telluride, which is primarily made by US company First Solar. Copper indium gallium selenide (CIGS) is not in production by anybody, but people are trying.
The kind of thin-film technology that Applied Materials has is silicon glass and very thin layers of metal.
With more than $1 billion invested every year in research and development, Applied Materials is a world leader in innovation. And technology we have introduced has already shown promise in boosting the efficiency of solar cells.
Our technology will produce large 5.7-sq-m panels that are unique in the industry and significantly reduce the overall costs of solar power. These ultra-large substrates, sized at 2.2mX2.6m, are four times bigger than today's typical solar panels.
These large panels are much cheaper to install and that's important, because today, half the cost of solar is in the installation of the panels, and we need to set a standard for panel size and installation, and get rid of the non-value-added costs.
At the same time, we have launched a new approach to solar production that combines technology with high-productivity and large-scale manufacturing. Last month, we announced the largest contract in the history of Applied Materials for $1.9 billion to build a GW-scale solar panel factory - the largest in the world - and that will begin to change the economics of the industry.
We believe that GW-scale plants and massive solar generation farms will help bring down the cost of solar dramatically and speed its adoption as an important renewable energy source.
Q: Where does your confidence come from?
A: Confidence comes from your whole life experiences. But my confidence in solar technology comes from the great technology that Applied Materials has applied.
We continue to be the leader in semiconductors and utilize our technology. If you (look at) our history, you can see we utilized the semiconductor technology to get into the flat panel technology, and we used our flat panel to get into the solar.
So, these things are built on each other over a period of time. And we expect to continue to be able to do that, to bring our technology to new markets.
Q: What are your expectations for your solar business in the Chinese market?
A: Last year, the solar panel part was pretty much nothing. This year, it will be between 7 to 10 percent of our whole business (globally).
We think the market for solar panels is very big, around $2.5 to $3 billion in business for us by 2010.
I am quite excited about the renewable energy polices. If you do a single calculation, China has 700 GW in electrical storage capacity. The demand is increasing 10 percent a year, so by 2010, when 15 percent renewable energy (of the total energy supply) is required by China's 11th Five-Year Plan, there needs to be 100 GW. That's really a lot compared with what we have now. We are working with every major solar company in China.
We have manufacturing, engineering and silicon product development for solar products in Xi'an, Shaanxi province.
We just announced we are going to do a number of things for solar there.
Michael R. Splinter
The world's largest maker of semiconductor production equipment, Applied Materials, is increasingly honing its focus on solar panels as semiconductor demand wanes.
The company recently announced the largest deal to date in the industry, worth $1.9 billion, in which it would build the world's largest solar-panel manufacturing plant.
After joining the firm five years ago, president and CEO Michael R. Splinter has pushed Applied Materials to become the semiconductor industry's No 1 firm for 17 consecutive years. Splinter discussed the company's growth strategy with China Daily reporter Zhang Qi.
Q: What made Applied Materials decide to switch from focusing on semiconductors to solar power?
A: Applied Materials has a long history of cooperation with China on challenging technological problems.
We were the first company in our industry to establish operations in China back in 1984. Since then, we have been working together to support the growth of the semiconductor industry and the establishment of manufacturing capacity for flat panel displays.
Our flat panel manufacturing systems have helped the industry decrease the cost of flat panel displays by 20 times over the last 10 years.
This is what we must do with solar. We must lower the cost-per-watt of solar power to competitive levels and let market demand grow in proportion. At Applied Materials, this is the focus of our solar efforts, and I'm confident that, together with our customers and partners, we will make tremendous progress in establishing solar infrastructure.
Q: What kind of technologies does Applied Materials use in sunfab thin-film manufacturing?
A: There are different kinds of thin-film technologies. There is Cadmium telluride, which is primarily made by US company First Solar. Copper indium gallium selenide (CIGS) is not in production by anybody, but people are trying.
The kind of thin-film technology that Applied Materials has is silicon glass and very thin layers of metal.
With more than $1 billion invested every year in research and development, Applied Materials is a world leader in innovation. And technology we have introduced has already shown promise in boosting the efficiency of solar cells.
Our technology will produce large 5.7-sq-m panels that are unique in the industry and significantly reduce the overall costs of solar power. These ultra-large substrates, sized at 2.2mX2.6m, are four times bigger than today's typical solar panels.
These large panels are much cheaper to install and that's important, because today, half the cost of solar is in the installation of the panels, and we need to set a standard for panel size and installation, and get rid of the non-value-added costs.
At the same time, we have launched a new approach to solar production that combines technology with high-productivity and large-scale manufacturing. Last month, we announced the largest contract in the history of Applied Materials for $1.9 billion to build a GW-scale solar panel factory - the largest in the world - and that will begin to change the economics of the industry.
We believe that GW-scale plants and massive solar generation farms will help bring down the cost of solar dramatically and speed its adoption as an important renewable energy source.
Q: Where does your confidence come from?
A: Confidence comes from your whole life experiences. But my confidence in solar technology comes from the great technology that Applied Materials has applied.
We continue to be the leader in semiconductors and utilize our technology. If you (look at) our history, you can see we utilized the semiconductor technology to get into the flat panel technology, and we used our flat panel to get into the solar.
So, these things are built on each other over a period of time. And we expect to continue to be able to do that, to bring our technology to new markets.
Q: What are your expectations for your solar business in the Chinese market?
A: Last year, the solar panel part was pretty much nothing. This year, it will be between 7 to 10 percent of our whole business (globally).
We think the market for solar panels is very big, around $2.5 to $3 billion in business for us by 2010.
I am quite excited about the renewable energy polices. If you do a single calculation, China has 700 GW in electrical storage capacity. The demand is increasing 10 percent a year, so by 2010, when 15 percent renewable energy (of the total energy supply) is required by China's 11th Five-Year Plan, there needs to be 100 GW. That's really a lot compared with what we have now. We are working with every major solar company in China.
We have manufacturing, engineering and silicon product development for solar products in Xi'an, Shaanxi province.
We just announced we are going to do a number of things for solar there.
Timminco Announces Supply Relationship With Canadian Solar Inc.
TORONTO, ONTARIO, Jun 02, 2008 (MARKET WIRE via COMTEX) ----Timminco Limited ("Timminco") today announced that its wholly-owned subsidiary, Becancour Silicon Inc. ("BSI"), has identified that Canadian Solar Inc. ("CSI") is one of its customers, under the long term supply agreement announced by Timminco on April 4, 2007. BSI and CSI have together achieved certain milestones with respect to delivery, consistency and quality of BSI's solar grade silicon. CSI is expected to purchase up to 5,000 metric tons of solar grade silicon through 2011 at a price substantially less than the current contract prices for polysilicon. BSI has delivered 16 metric tons of solar grade silicon in 2007 and expects to deliver 450-500 metric tons to CSI in 2008.
Dr. Shawn Qu, Chairman and CEO of CSI commented: "BSI is a leading silicon producer and we are pleased to have collaborated with them on solar grade silicon since early 2007. In making this announcement we have together achieved a technical landmark in the PV industry."
"We are very happy to announce our relationship with CSI as a strategic partner in the development of our solar grade silicon." said Mr. Rene Boisvert, President and CEO of BSI. "We are pleased to have achieved the necessary milestones to permit commercialization by CSI of their use of our product."
ABOUT TIMMINCO
Timminco is a leader in the production and marketing of lightweight metals, specializing in solar grade silicon for the rapidly growing solar photovoltaic energy industry. Using its proprietary technology, Timminco processes metallurgical grade silicon into low cost solar grade silicon for use in the manufacture of solar cells. Timminco also produces silicon metal, magnesium extrusions and other specialty metals for use in a broad range of industrial applications serving the aluminum, chemical, pharmaceutical, electronics and automotive industries.
ABOUT CANADIAN SOLAR INC.
Founded in 2001, CSI is a vertically integrated manufacturer of solar module and customer-designed solar application products serving worldwide customers. CSI is incorporated in Canada and conducts all of its manufacturing operations in China. Backed by years of experience and knowledge in the solar power market and the silicon industry, CSI has become a major global provider of solar power products for a wide range of applications.
Dr. Shawn Qu, Chairman and CEO of CSI commented: "BSI is a leading silicon producer and we are pleased to have collaborated with them on solar grade silicon since early 2007. In making this announcement we have together achieved a technical landmark in the PV industry."
"We are very happy to announce our relationship with CSI as a strategic partner in the development of our solar grade silicon." said Mr. Rene Boisvert, President and CEO of BSI. "We are pleased to have achieved the necessary milestones to permit commercialization by CSI of their use of our product."
ABOUT TIMMINCO
Timminco is a leader in the production and marketing of lightweight metals, specializing in solar grade silicon for the rapidly growing solar photovoltaic energy industry. Using its proprietary technology, Timminco processes metallurgical grade silicon into low cost solar grade silicon for use in the manufacture of solar cells. Timminco also produces silicon metal, magnesium extrusions and other specialty metals for use in a broad range of industrial applications serving the aluminum, chemical, pharmaceutical, electronics and automotive industries.
ABOUT CANADIAN SOLAR INC.
Founded in 2001, CSI is a vertically integrated manufacturer of solar module and customer-designed solar application products serving worldwide customers. CSI is incorporated in Canada and conducts all of its manufacturing operations in China. Backed by years of experience and knowledge in the solar power market and the silicon industry, CSI has become a major global provider of solar power products for a wide range of applications.
Canadian Solar Signs US$500 Million Supply Agreement with Neo Solar Power
HSINCHU, Taiwan and JIANGSU, China, June 2 /Xinhua-PRNewswire/ -- Canadian Solar Inc. (CSI; Nasdaq: CSIQ), a global solar module manufacturer, today announced that it signed a five-year supply contract with Neo Solar Power (NSP,3576 TT), a leading manufacturer of high quality solar cells. NSP has been astable supplier to CSI since March, 2007. Under the terms of the new agreement, NSP will supply several hundred megawatts (MW) of solar cells through 2013. The total contract value exceeds US$500 million.
Dr. Quincy Lin, Chairman and CEO of NSP, said, ''We are pleased to extend our existing cooperation by entering into a long term partnership with CSI, an industry leading solar module maker, to support its rapid business expansionin coming years. The confluence of NSP's strength in cell quality and manufacturing efficiency and CSI's solid channel relations with solar system providers, will allow us to deliver an integrated and effective solution in the photovoltaic value chain.''
Dr. Shawn Qu, Chairman and CEO of CSI, commented, ''This agreement will help us ensure continued growth over the next five years and is testament to our ability to establish and secure relationships with strategic suppliers across the solar value chain. NSP has been an invaluable and high-performing supplier to CSI and will be a key partner for us in the execution of our flexible vertical integration model and balanced supply strategy in the future.''
About Canadian Solar Inc. (Nasdaq: CSIQ)
Founded in 2001, Canadian Solar Inc. (CSI) is a vertically integrated manufacturer of solar cell, solar module and custom-designed solar application products serving customers worldwide. CSI is incorporated in Canada and conducts all of its manufacturing operations in China. Backed by years of experience and knowledge in the solar power market and the silicon industry, CSI has become a major global provider of solar power products for a wide range of applications. For more information, please visit http://www.csisolar.com .
About Neo Solar Power (3576 TT)
Founded in 2005, Neo Solar Power (NSP) specializes in manufacturing of high quality solar cells. Based in Hsinchu Taiwan, NSP currently has Fab 1 in full production with 90 MW capacity and expects its new Fab 2 to launch production in the third quarter of 2008 with an ultimate capacity of 600 MW. Seasoned through a long history in the semiconductor and solar industry, NSP produces cells with high efficiency and minimum power loss. Leveraging core competence on quality, technology and technical services, NSP aims to become a global leader in the photovoltaic industry and to make solar energy a competitive energy source. More information on NSP, please visit http://www.neosolarpower.com/
Dr. Quincy Lin, Chairman and CEO of NSP, said, ''We are pleased to extend our existing cooperation by entering into a long term partnership with CSI, an industry leading solar module maker, to support its rapid business expansionin coming years. The confluence of NSP's strength in cell quality and manufacturing efficiency and CSI's solid channel relations with solar system providers, will allow us to deliver an integrated and effective solution in the photovoltaic value chain.''
Dr. Shawn Qu, Chairman and CEO of CSI, commented, ''This agreement will help us ensure continued growth over the next five years and is testament to our ability to establish and secure relationships with strategic suppliers across the solar value chain. NSP has been an invaluable and high-performing supplier to CSI and will be a key partner for us in the execution of our flexible vertical integration model and balanced supply strategy in the future.''
About Canadian Solar Inc. (Nasdaq: CSIQ)
Founded in 2001, Canadian Solar Inc. (CSI) is a vertically integrated manufacturer of solar cell, solar module and custom-designed solar application products serving customers worldwide. CSI is incorporated in Canada and conducts all of its manufacturing operations in China. Backed by years of experience and knowledge in the solar power market and the silicon industry, CSI has become a major global provider of solar power products for a wide range of applications. For more information, please visit http://www.csisolar.com .
About Neo Solar Power (3576 TT)
Founded in 2005, Neo Solar Power (NSP) specializes in manufacturing of high quality solar cells. Based in Hsinchu Taiwan, NSP currently has Fab 1 in full production with 90 MW capacity and expects its new Fab 2 to launch production in the third quarter of 2008 with an ultimate capacity of 600 MW. Seasoned through a long history in the semiconductor and solar industry, NSP produces cells with high efficiency and minimum power loss. Leveraging core competence on quality, technology and technical services, NSP aims to become a global leader in the photovoltaic industry and to make solar energy a competitive energy source. More information on NSP, please visit http://www.neosolarpower.com/
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